Market trends

Background

Croissant hype in China boosts demand for NZ butter

Fonterra Edgecumbe is commissioning a new butter line which will nearly double the factory’s butter sheet production from 4,500 metric tonnes to 7,000 metric tonnes.

This is because in China, the demand for butter is increasing, due to high demand for the popular chocolate croissants.


  • Croissant hype in China boosts demand for NZ butter

Social media frenzy

Fonterra General Manager Marketing, Global Foodservice, Susan Cassidy says, “The Dirty Dirty Bread can best be described as a chocolate croissant. People love the flaky chocolate pastry that’s coated in rich chocolate ganache and sprinkled with cocoa powder. “It makes it impossible to keep your face clean while eating. They are popular with celebrities who have taken to social media to share images of their ‘muddy bun face’ experience.” Ms Cassidy says demand for butter is as strong as ever. People want natural products and they are prepared to pay for them. And that’s why global butter prices, including here in New Zealand, are continuing to rise.

New butter line as of September 1

Edgecumbe’s Operations Manager, Allan Muggeridge, says the first butter sheet will roll off the new butter line on September 1.

“We’ve been watching demand for butter build for a number of years now. The building part of the project started in May so it’s been a quick turnaround to get it up and running,” says Mr Muggeridge. 15 local contractors have been employed to complete the expansion at the site, which employees 380 people.

[Source: Fonterra]

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